So if you were appointed to take charge of Microsofts Xbox Division what would be some of the things that you would do in this role? 

Buy Nintendo, drop out of the console business, become 3rd party for PC, mobile and PS4.

Make xbox a PC service, take on steam.

or just cut it all up and sale off everything.

3rd option, bail on xbox partner up with sony on online. Become 3rd party dev/publisher.

Going 3rd party isnt gonna help MS push other products. People think Xbox is just MS trying to make money in gaming. Its not, its vehicle to get people interested in other things MS does as well.

If anything, I would like to see a MS console with Nintendo support. Frankly, we dont need a 3 console market. Nintendo simply cant take on Sony like MS has.

Expand variety in studio diversity; buy studios.

They can compete with Steam is they truly wanted to. But since Steam is basically only relevant on Windows, maybe they dont care to compete. SteamOS for example is a joke 

If Xbox is profitable and helps push other products, then there isnt a good reason to get rid of Xbox. 8th gen consoles were basically designed to be low risk financially.

XB1:

• Try to establish 2 new AAA capable studios and another one with ~50 employees (about the size of Media Molecule for example). All 3 to work on fresh new IPs. Not buying studios, establishing new studios to be clear.
• Give the current studios more creative freedom, I'd go as far as to let studios such as 343 (Halo) drop their franchise if they wanna build a new IP or revive an old IP instead.
• Make M/KB (mouse and keyboard) fully compatible with the XB1, give developers the option to completely toggle this feature on or off for their games (M/KB on a console would be a nightmare for shooters due to unfair advantage, but would be great for games like Tropico 5). Full M/KB compatibility would be a great intiative for publishers to bring games which really only work with M/KB to the console, think strategy games.
• Officialy drop the price in the Eurozone to €299,99 + game, big marketing push in Europe. It doesn't matter that retailers already offer the console at similar pricing, marketing is important as fuck.
• $350 Fallout 4, Tomb Raider and Halo 5 bundles, Halo 5 bundle includes The Master Chief Collection and Halo Reach.
• Offer a version of Xbox Live which only gives Online Multiplayer and nothing else, $30-$40.
• Refund policy for digital purchases similar to Steam.

Next Xbox:

• $400 tops.
• Do everything possible to release the stronger console, stronger than the PS5.
• New Halo, big new exclusive IP at launch.
• Normal Xbox controller, Elite controller and a brand new controller with the sticks in the same position as the Dualshock controllers at launch.
• M/KB full support like I've said above at launch.
• Digital only SKU (normal SKU with disc drive also available) at launch, $300 (includes 1 year of XBL Gold).
• Refund policy for digital purchases similar to Steam.
• Try to get full Backwards Compatibility with the Xbox, Xbox 360 and Xbox One if possible.

PC and connection to the Next Xbox:

• Launch a Steam competitor. Big push for cross-buy and cross-play with the next Xbox, only games running on this service are allowed cross-buy and cross-play with the Next Xbox, games running on other services such as Steam and Origin can't. Obviously publishers have the final say if their games are cross-buy and/or cross-play or not. W10 exclusive, free online play.
• Bring all Microsoft Studios games to this new service, all still timed-exclusive to the Next Xbox though. Some 3 months (games such as Killer Instinct), some a year or even a year and a half (games like Halo). All Microsoft Studios and Microsoft owned games are obviously exclusive to this service and don't release on Steam. Work with other (smaller) developers to bring their games (timed) exclusive to this service, think games such as Dead Rising 3, Ryse and Cuphead which are currently only available on XB1 and PC.
• Make sure this new W10 PC service has something like the Steam Workshop for mods, let communities vote on their favorite mods to come to the Next Xbox free of charge. Hundreds of mods for a wide variety of games each month available on the Next Xbox.
• Bring Xbox, Xbox 360 and Xbox One games to this service. Put your Xbox, Xbox 360 or Xbox One disc in your PC and you get the game for free on this service, but make the customers keep the disc as an activion key. Publishers can obviously disallow this if they wish.

Yeah, but I would be the first consumer friendly CEO in history. If that doesn't make people interested in my company I don't know what does.

Buy/Build studios

Less emphasis on the Holiday season more emphasis on spreading some releases through the year

Take the long term and use the new studios to make new IP instead of timed deals

Make Halo 6 the last Halo (Would've made Halo 5 the last halo but it's too late) also Gears 4 the last gears, and have 343 and The Coalition working on new games.

I'd beg my parent company for the funds and resources to actually fight Sony. Right now, it's obvious MS doesn't give a shit and is comfortable treading water.